Big budget surplus kick-starts spending battle for next year

(AP) — The tug-of-war over how to spend Minnesota's projected budget surplus began as soon as state finance officials announced Thursday it clocked in at nearly $1.9 billion, a figure that will become the focal point in next year's legislative session.

[...] the state's top Democrats and Republicans couldn't help but start building legislative wish lists, filled with tax cuts, early education initiatives and fixes for the state's ailing network of roads and bridges.

With news that the budget surplus had more than doubled due to higher-than-expected tax collections and lower costs in health care programs, Republicans and Democrats alike agreed the outlook was good for tax relief.

Dayton referenced a child care tax credit his office proposed earlier this year, while House Speaker Kurt Daudt suggested reviving the House GOP's previous attempt to eliminate taxes for senior citizens on Social Security income.

Among those jockeying for a property tax cut for businesses is the United for Jobs Coalition, a conglomeration of business groups led by the Minnesota Chamber of Commerce, saying the current property taxes are outsized compared to Minnesota's neighbors.